Unanimously approved regulation changes to standardize the designation of "member firm affiliates" for Exchange transaction fee purposes by member firms registered under Categories (1) and (2) of Regulation 230.02.
The revisions will allow Category (1) and (2) member firms which have four Full and two Associate Memberships registered to designate, for member firm fee treatment, up to five non-FCM, non-clearing "passive investor entities" (i.e., commodity pools, hedge funds or other collective investment vehicles), where the member firm exercises trading control over, or is under common trading control with, such entities.
Previously, this type of designation was available only to Category (3) member firms (non-FCMs whose ownership structures may include non-members and passive investors). Category (3) firms also have a minimum registration requirement of four Full and two Associate Memberships.
These amendments will be effective as of October 8, 2003.
